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Greenhouse-gas regulations by the Environmental Protection Agency would have a chilling effect on the U.S. refining industry, said Bill Klesse, the CEO of Valero and chairman of the National Petrochemical and Refiners Association. Speaking at the trade group's annual meeting in Phoenix, Klesse said that federal regulations would raise costs for the industry, which is already experiencing low margins and weak demand. "Expansions will disappear. Improvements will disappear," he said.

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Exports will shape the future of the country's refining industry, said Bill Klesse, chairman, president and CEO of Valero Energy. "There's been a real opportunity" in exports, Klesse said during a conference call with analysts. Separately, Klesse disputed a report that said Valero was planning to spend $2 billion to acquire Chevron's refinery in the U.K.

Greenhouse-gas regulations by the Environmental Protection Agency would have a chilling effect on the U.S. refining industry, said Bill Klesse, the CEO of Valero and chairman of the National Petrochemical and Refiners Association. Speaking at the trade group's annual meeting in Phoenix, Klesse said that federal regulations would raise costs for the industry, which is already experiencing low margins and weak demand. "Expansions will disappear. Improvements will disappear," he said.

Among the lessons learned by chemical companies during the recession is that specialty chemicals are not immune to demand downturns and that making cost reductions can help manufacturers weather a weak economic cycle. However, the economic crisis also hastened the ongoing shift of manufacturing capacity from Western economies to the surging manufacturing sectors of the East. One example is the automotive industry, where chemical suppliers are securing market share in the automotive sectors of South Korea, China and India.

Greenhouse-gas regulations by the Environmental Protection Agency would have a chilling effect on the U.S. refining industry, said Bill Klesse, the CEO of Valero and chairman of the National Petrochemical and Refiners Association. Speaking at the trade group's annual meeting in Phoenix, Klesse said that federal regulations would raise costs for the industry, which is already experiencing low margins and weak demand. "Expansions will disappear. Improvements will disappear," he said.

Congress must act to delay the Environmental Protection Agency's implementation of its own greenhouse-gas guidelines before the agency finalizes the rule on March 31, said Cal Dooley, CEO of the American Chemistry Council. Dooley said EPA's rules would hinder economic recovery because they would hold back investments in the construction of manufacturing facilities, which require regulatory certainty. "It is imperative that the administration respond," he added.